Prevailing wage bill deserves a veto

Gov. Jerry Brown should assert independence from organized labor by vetoing SB 7, a measure by Senate President Darrell Steinberg that would withhold state construction funds from charter cities that authorize a contractor to not comply with “prevailing wage” provisions on any public works contract.

It’s a terrible blackmail bill that would cause up to 51 charter cities throughout the state to lose their autonomy when it comes to selecting contractors for construction projects. Under California’s Labor Code, contractors on public works projects must pay union wages. General law cities have to adhere to these and other standards, while cities with independent charters have more control over local affairs, such as land-use decisions, elections and contracts.

Since the state can’t force its pro-labor stance on charter cities, SB 7 seeks to go around that by imposing a financial penalty on them if they don’t comply.

Ironically, Brown recently encountered a similar ploy when he was forced to exempt transit workers from the state’s pension reform law after the U.S. Department of Labor threatened to withhold federal grants to local transit districts if he didn’t. Brown says he’s going to pursue the matter in court.

Hopefully that experience has taught him something and he won’t put charter cities in a similar position.